Agenda - Council - 08/27/1991 - Laserfiche WebLink

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STEPHEN J. BUBUI. Attorney at Law Direct Dial (612) 337-9228 HOLMES & GRAVEN 4'70 Pillsbury C enter. Minneapolb,. Minnes, nla 55402 TelephCme t612) 337-93(10 Facsimile 1612) 33'/-93111 August 12, 1991 Mr. Ryan Sehroeder City Administrator City of Ramsey 15153 Nowthen Blvd. NW Ramsey, MN 55303 RE: Reimbursement Rules for Future Bond Issues Dear Ryan: As we discussed, t am enclosing a summary of the new reimbursement regulations and a resolution that may be used to declare an "official intent" regarding the City's upcoming improvement projects. The general concept is that, after September 7, 1991, the City must declare its intent to reimburse itself out of bond proceeds. The declaration must occur no more than two years before the date of the reimburse ment. Further, the reimburse ment must occur within one year after the expenditure or one year after the project is "placed in service", whichever is later. Transition rules allow you to reimburse expenditures made between September 8, 1989 and September 7, 1991, as long as there is "objective evidence" that the City reasonably expected to reimburse itself out of bond proceeds. A pattern of reimbursing the relevant costs will generally suffice. The enclosed resolution both declares the City's reimbursement intent for the future improvement project costs, and summarizes the evidence regarding your past expenditures on this project. Please review the two exhibits carefully to be sure that they are complete and accurate (several blanks need to be filled in). The resolution delegates to you the authority to amend Exhibit A as necessary. The City should also review any other costs incurred since September 8, 1989 that were expected to be financed with bond proceeds. Time may be short (or already expired), because the reimbursement must occur within one year after the expenditure or the date the proiect was placed in service. I I I I I I I I I I I I I I I I I I